H1 FY24 Results and Guidance Update

Template
Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)
Updated as at 17 October 2019


Results for announcement to the market
Name of issuer AoFrio Limited
Reporting Period 6 months to 30 June 2024
Previous Reporting Period 6 months to 30 June 2023
Currency New Zealand Dollar
Amount (000s) Percentage change
Revenue from continuing
operations
$38,362 +27.4%
Total Revenue $38,362 +27.4%
Net profit/(loss) from
continuing operations
($1,043) n/a
Total net profit/(loss) ($1,043) n/a
Interim/Final Dividend
Amount per Quoted Equity
Security
No dividend will be paid
Imputed amount per Quoted
Equity Security
n/a
Record Date n/a
Dividend Payment Date n/a
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$0.005 $0.017
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
NTA is calculated to exclude Intangible Assets but include
Deferred Tax.
Authority for this announcement
Name of person

authorised
to make this announcement
Howard Milliner
Contact person for this
announcement
Howard Milliner
Contact phone number 0275870455
Contact email address Howard.Milliner@aofrio.com
Date of release through MAP

02/08/2024

Unaudited financial statements accompany this announcement.

---

1
Interim Report 2024
AoFrio
Interim Report
2024
Interim Report 2024

2
AoFrio Ltd
AoFrio is pleased to release its interim report for the six
months ended 30 June 2024 (“H1 FY24”). The results
show a strong first half performance, as previously
indicated, built on its new USA IoT strategy, new
business wins in both North America and South America
and strong customer satisfaction scores.
AoFrio’s growth strategy remains focused on investing,
as internally generated cashflow allows, in new market
vertical development as well as protecting and growing
the core Cold Drink Equipment (CDE) business.
Financial performance
Revenue for H1 FY24 increased 27.4% to $38.4 million,
compared to $30.1 million for the same period last year.
Earnings before interest, tax, depreciation, and
amortisation (EBITDA) was a profit of $1.1 million
compared to a $0.7 million loss for the corresponding
period last year. The pre-tax result was a loss of $1.1
million compared to a pre-tax loss of $2.7 million in H1
FY23.
Interim Report 2024
Metric (NZ$m)H1 FY24H1 FY23Variance
Revenue38.430.18.3
IoT21.817.14.7
Motors & Fans 16.613.03.6
Gross Margin %30.0%30.3%(0.3) pp
EBITDA1.1(0.7)1.8
EBIT(0.3)(2.1)1.8
Loss(1.0)(2.7)1.6
Operating cash inflow /
(outflow)
2.3(2.8)5.1

3
Interim Report 2024
Revenue
Across the first half of the year, AoFrio made significant
progress across key strategic initiatives, which
translated into solid revenue growth. The business is
experiencing the cumulative effect of these initiatives
with Q1 revenue hitting $16.6 million and Q2 revenue
growing to $21.8 million.
In core markets, AoFrio shipped 326,000 IoT devices
and 437,000 motors in the period. This resulted in
revenue increases of 27.1% for IoT and 27.9% for
Motors compared to H1 FY23.
Regional Performance:
Revenue
(NZ$m)
H1 FY24H1 FY23Change
North
America
26.019.26.8
South
America
6.44.71.7
EMEA3.23.3(0.1)
APAC2.82.9(0.1)
38.430.18.3
There was strong revenue growth in the Americas due
to a series of sales initiatives and, in part, because 2023
was adversely impacted by higher inventories carried
over from 2022. North American year-on-year growth
was 36.0% and South America was 34.2%. There were
significant market share wins during the period:
• Launching IoT in the USA – the launch of AoFrio’s
always-on connected device opened this market to
AoFrio’s connectivity solution. In H1 FY24, AoFrio’s
IoT revenue for the USA market was $0.5 million and
there is significant potential to grow this further.


• ECR
®
2 motors into the USA – AoFrio has been
working with its USA distributor to secure ECR 2
motor demand with a major USA manufacturer of
water heaters. First orders were received in May
2024 and revenue in H1 FY24 was $0.6 million.
• IoT in Brazil – AoFrio won volume from a local
competitor during the first half of the year and is
now providing its IoT solution to one of the biggest
Coca-Cola bottlers in the country.
EMEA and APAC revenue for the period was consistent
with H1 FY23. AoFrio has recruited additional sales staff
in July 2024 to deliver revenue growth in these regions.
AoFrio invoiced $2.5 million for cloud data connection
and software development charges during H1 FY24
compared to $2.1 million for the same period last year.
This service revenue is multi-year and is recognised in
the Income Statement over the duration of the contract.
At 30 June 2024, $14.1 million of revenue was deferred
for recognition in subsequent periods.
Gross Margin
H1 FY24 gross margin was slightly lower at 30.0%
compared to 30.3% during the same period last year.
The margin for IoT products was 40.1% and 16.9% for
motors. This compares to 41.8% and 15.2% for the same
period last year.
Operating expenses
Operating expenses for the six months ending 30 June
2024 were $10.5 million which is consistent with the
comparable period last year.
Staff costs of $10.0 million (pre-capitalised development)
increased $1.7 million compared with H1 FY23. New
roles were recruited in H1 FY24 to support the business
growth plan, not as many as originally planned because
spending and investments are being carefully managed.

4
AoFrio Ltd
AoFrio will accelerate investment when forecast demand
is confirmed through customer orders.
Capitalised development time increased to $2.5 million
from $1.1 million in H1 FY23. This reflects the focus this
year on new product development to progress AoFrio’s
strategies of protecting and growing the bottle cooler
market and diversification into new markets. These
initiatives include completing developments for launch in
H2 FY24 of a new higher power motor (ECR 2 26W), a
new energy solution (AoFrio
®
INSIDE™) a new Gateway
for the bottle cooler market and new solutions for food
service/food retail customers.
Working Capital
Cash at 30 June 2024 was $2.0 million compared to $3.3
million at 31 December 2023. Trade receivables at 30
June 2024 was $19.9 million compared to $15.4 million
at 31 December 2023. Inventory at 30 June 2024 was
$10.2 million, a $1.4 million increase compared to 31
December 2023, and included components sourced in
2022 to ensure component supply issues didn’t continue
to impact production capacity in 2023 and 2024.
Trade payables at 30 June 2024 were $20.6 million, a
$6.4 million increase compared to 31 December 2023.
Throughout the first half of the year, there has been
pressure on working capital due to changes in customer
mix (increased sales to customers with longer payment
terms) and higher inventory (longer shipping times due to
capacity out of Asia, the Red Sea crisis, and component
inventory). AoFrio’s contract manufacturer, East West,
agreed to extended payment terms to help manage
working capital pressure.
Delivering our Growth Strategy
In its journey to become a hardware-enabled SaaS
company, AoFrio is focused on delivering solutions
that support customers’ intense drive to become more
sustainable and efficient in the food and beverage
industry. AoFrio is committed to our two strategic
objectives: protecting and growing the core business
in the CDE market and diversifying into new market
segments.
Protect and grow our core market (Cold
Drink Equipment market)
AoFrio is focused on growing its core CDE business
by 20% by entering new geographies, launching new
solutions and continuing to take market share.
Entering new geographies, USA and Europe with a
new IoT solution (estimated Serviceable Available
Market (SAM)* is $75 million annually)
Customers in these geographies want to be able to
improve the return on investment of their cooler fleets
and manage energy consumption with the least amount
of direct interaction with the cooler. The solution AoFrio
launched in Q4 FY23 delivers for customers because it
allows two-way cellular communication with the cooler to
optimise its performance (utilisation, energy consumption
and predictive maintenance).
AoFrio has made good progress with its connected IoT
solution in the USA market, indicated by sales to a Coca-
Cola bottler. Trials are in place with many customers
(Coca-Cola, Heineken, Carlsberg, PepsiCo) in the US
and Europe. While further orders are expected this year,
the trial work positions AoFrio for the FY25 customer
capital purchase cycle.
A strategic pricing approach supports a focus on
achieving a strong product and market fit for AoFrio’s
cellular solutions. Within the next three years, the goal
is to become the preferred solution for branded cooler
prospects in the USA, including major players like
Coca-Cola and PepsiCo. Cellular connectivity is also
the first preference in Europe for major brands such as
Heineken, AB InBev, and Carlsberg. Additional sales
resources have been added in the region to support
this growth initiative and the launch of AoFrio INSIDE
noted below.
* TAM (Total Addressable Market), SAM (Serviceable Addressable Market) are estimates only and are not additive.

5
Interim Report 2024
New Solutions
Refrigerator Energy Management Solution: AoFrio
INSIDE (estimated Total Addressable Market (TAM)* is
$300 million)
AoFrio is set to launch its energy efficiency solution,
AoFrio INSIDE in August 2024.
AoFrio INSIDE addresses the industry’s focus on
rapidly reducing the energy consumption of commercial
refrigeration. Customers with cooler fleets have stated
that refrigeration can make up 30-35% of their carbon
footprint. AoFrio has tested its solution with Original
Equipment Manufacturer (OEM) partners and has seen
cooler energy consumption reduced by up to 54%.
AoFrio INSIDE combines AoFrio’s energy-efficient
hardware with the new AoFrio iQ platform. It allows
customers to understand energy consumption for both a
fleet of coolers or an individual cooler and make changes
remotely to manage performance and reduce energy
usage. For example, remotely change the temperature for
summer/winter profile or initiate a remote defrost cycle.
Remote Fleet Management powered by advanced
analytics and workflow technology
As a part of the AoFrio INSIDE launch, AoFrio is releasing
its new software solution AoFrio iQ. This enables remote
fleet management, provides algorithms that can predict
when a refrigerator is starting to operate incorrectly,
recommends and initiates actions, and offers fleet
performance analytics and dashboards.
AoFrio is continuing to invest to ensure its data platform
is organised to be Artificial Intelligence and Machine
Learning ready. AoFrio’s innovation roadmap and
AoFrio INSIDE solution have initial algorithms to support
refrigeration predictive maintenance workflows and can
be released to customers who are ready to adopt leading
technology.
Growing AoFrio’s Data Ecosystem
Currently, AoFrio gathers data from more than 2.7 million
connected coolers. This extensive database enables the
Company to provide its customers with significant insights
to optimise fleet performance. This asset is unparalleled
in the industry and constitutes the basis of AoFrio’s
Machine Learning training and the value delivered to
customers.
The Company has been collaborating with customers
who manage mixed fleets of both AoFrio and third-party
controllers. AoFrio’s team has developed a method to
extract data from non-AoFrio hardware and integrate
it into AoFrio iQ. This gives customers the flexibility to
access data from both third-party and AoFrio hardware
onto one platform. It enables AoFrio to gain access to
more data in its system, increasing market share and
data revenue. This has been successfully implemented
for one customer in Brazil.
* TAM (Total Addressable Market), SAM (Serviceable Addressable Market) are estimates only and are not additive.

6
AoFrio Ltd
Motor range expansion (estimated SAM* for
ECR

2 26W is $60 million)
The new high-power ECR 2 26W motor is set for launch
in Q3 2024. This product was developed to meet the
demand for a more powerful motor in supermarkets
and large cooler markets. Several customer trials are
currently being conducted. AoFrio is in the final stages
of obtaining compliance and certification for each
geography and a first order has been received
from China.
Significant work is in progress to expand AoFrio’s fan
pack product range, particularly for the supermarket
business. Many large customers require a complete
range of fan packs to meet their application requirements
and prefer to work with one fan pack supplier. AoFrio’s
fan packs have high reliability and low noise, positioning
them at the premium end of the market.
Diversifying into new markets (TAM* for
Food Service/Retail $17 billion)
In H1 FY24, AoFrio had two proof of concept (POC)
initiatives in place for the Food Retail market; these ran
from Q4 FY23 to the end of Q2 FY24. The POCs allowed
AoFrio to test a range of its products and optimise
or develop them to meet customers’ requirements.
The main customer benefit is improved food safety
compliance management (monitoring, alerting and
workflow).
Both POCs were successful in terms of solution
development, and one for a supermarket chain in
Argentina, has progressed to commercial discussion for
an initial roll out. These discussions are ongoing and are
expected to be complete in Q3 FY24.
Ahead of the official launch of AoFrio’s initial Food
Services/Retail solution, which is targeted for Q4 FY24,
AoFrio is working on two additional, large commercial
proposals, one in New Zealand and one in the USA.
Sustainability
AoFrio is continuing to implement its sustainability
strategy, driving sustainable decision making in
its operations and supply chain through its three
sustainability pillars: Team, Operations, and Products.

Team
AoFrio has trained its Auckland team on recycling and
waste management to ensure the team is aware of what
can or cannot be recycled through Auckland recycling
centres. AoFrio fostered diverse conversations as part
of an International Women’s Day event themed ‘Inspire
Inclusion’ hosted by its internal AoFrio Woman Leaders
group (AoWLead).
Operations
AoFrio has worked alongside its core manufacturer, East
West Industries, to review its sustainability practices,
including a solar panel project at their Vietnam factory.
East West has committed to aligning with AoFrio’s
sustainability journey and is being encouraged to
become certified by EcoVadis. EcoVadis is a globally
recognised assessment platform that rates businesses’
sustainability across four key categories: environmental
impact, labour and human rights standards, ethics, and
procurement practices. AoFrio currently holds a bronze
medal which places it among the top 35% of rated
companies, reflecting its efforts across environmental,
social, and ethical aspects.
Products
AoFrio has commenced its circularity work, to ensure life
cycle management is built into the design of products
and services. This includes end of life management
(recycling, reuse, refurbishment, effective disposal
etc). Partnering with environmental and corporate
sustainability leader Thinkstep ANZ, AoFrio has trained
the organisation on what a circular economy is and
has begun circularity reviews of its ECR and Monitor
products. The aim is to complete similar reviews for other
AoFrio products by the end of FY25.
AoFrio has commenced setting up systems for collecting
Scope 1 Emissions data for its New Zealand locations.
* TAM (Total Addressable Market), SAM (Serviceable Addressable Market) are estimates only and are not additive.

7
Interim Report 2024
Looking Forward
On the back of a strong H1 FY24 performance,
AoFrio is maintaining its 2024 guidance. Revenue
in FY24 is expected in the range $70m to $80m, a
13% increase over FY23 at the midpoint of the range.
AoFrio’s EBITDA guidance for FY24 is targeting around
$2.5m. Macroeconomic conditions may impact this
guidance. AoFrio notes it is working on significant large
opportunities that, if they eventuate, would push revenue
to the top end of guidance.
AoFrio remains measured in its approach to managing
the investment required for new product and adjacent
market growth, including cost controls, and tighter criteria
for investment in innovation. AoFrio continues to manage
its investment to align with trading conditions and expects
to be able to continue expanding through internally
generated cashflows.
Thank you to the AoFrio team and stakeholders for your
support.

8
AoFrio Ltd
Financial Statements
Consolidated and Condensed Interim Statement of Comprehensive Income
Six months ended
Unaudited
Year ended
Audited
Note
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Revenue2.1,2.338,36230,10866,552
Cost of sales(26,844)(20,974)(46,564)
Gross profit11,5189,13419,988
Foreign exchange gains39474490
Other income2.475149327
Operating expenses2.5(10,528)(10,464)(19,799)
Earnings before interest, taxation, depreciation,
amortisation and impairment
1,104(707)1,006
Depreciation3.5(412)(315)(748)
Amortisation3.6(971)(1,107)(2,306)
Impairment3.6---
Loss before interest and taxation(279)(2,129)(2,048)
Finance income4.2233359
Finance expenses4.2(808)(556)(1,322)
Loss before income tax(1,064)(2,652)(3,311)
Income tax credit / (expense) 2.721(22)(223)
Loss for the period(1,043)(2,674)(3,534)
Other comprehensive income:
Items that may be reclassified subsequently to the profit
or loss:
Exchange differences on translation(225)(306)(781)
Other comprehensive income for the period(225)(306)(781)
Total comprehensive income for the period(1,268)(2,980)(4,315)
Loss for the period attributable to the
Owners of the Company
(1,043)(2,674)(3,534)
Total comprehensive income attributable to the
Owners of the Company
(1,268)(2,980)(4,315)
Basic earnings per share – cents2.6(0.24)(0.62)(0.82)
Diluted earnings per share – cents2.6 (0.24)(0.62)(0.82)

The above Consolidated and Condensed Interim Statement of Comprehensive Income should be read in conjunction with the accompanying notes.

9
Interim Report 2024
Consolidated and Condensed Interim Statement of Movements in Equity
Share
capital
$000s
Accumulated
losses
$000s
Other
reserves
$000s
Total
equity
$000s
Unaudited for the six months ended 30 June 2024
Balance at 1 January 2024135,578(111,741)(4,294)19,543
Comprehensive income
Loss for the period-(1,043)-(1,043)
Other comprehensive income:
Exchange differences on translation of
foreign operations
--(225)(225)
Total comprehensive income-(1,043)(225)(1,268)
Share options compensation expensed--4343
Balance at 30 June 2024135,578(112,784)(4,476)18,318
Unaudited for the six months ended 30 June 2023
Balance at 1 January 2023135,578(108,207)(3,590)23,781
Comprehensive income
Loss for the year-(2,674)-(2,674)
Other comprehensive income:
Exchange differences on translation of
foreign operations
--(306)(306)
Total comprehensive income-(2,674)(306)(2,980)
Share option compensation expensed--3333
Balance at 30 June 2023135,578(110,881)(3,863)20,834
Audited for year ended 31 December 2023
Balance at 1 January 2023135,578(108,207)(3,590)23,781
Comprehensive income
Loss for the year-(3,534)-(3,534)
Other comprehensive income:
Exchange differences on translation of
foreign operations
--(781)(781)
Total comprehensive income-(3,534)(781)(4,315)
Share option compensation expensed--7777
Balance at 31 December 2023135,578(111,741)(4,294)19,543
The above Consolidated and Condensed Interim Statement of Movements in Equity should be read in conjunction with the accompanying notes.

10
AoFrio Ltd
Consolidated and Condensed Interim Statement of Financial Position
UnauditedAudited
Note
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Current Assets
Cash and cash equivalents1,9512,5153,295
Trade and other receivables3.121,44319,81716,480
Derivative financial instruments38-254
Inventories3.210,20810,3468,803
Total current assets33,64032,67828,832
Non-Current Assets
Property, plant and equipment3.55,5975,8535,482
Deferred tax asset10,36310,53810,363
Intangible assets3.616,03813,53913,923
Total non-current assets31,99829,93029,768
Total assets65,63862,60858,600
Current Liabilities
Trade and other payables3.324,31916,73517,251
Contract liability2.32,3122,2092,269
Provisions3.4139184133
Derivative financial instruments-56-
Liabilities in respect of right-of-use assets5.323262181
Borrowings4.14,1398,4614,674
Total current liabilities31,14127,70724,508
Non-Current Liabilities
Borrowings4.1320342311
Liabilities in respect of right-of-use assets5.34,0924,2894,213
Contract liability2.311,7679,43610,025
Total non-current liabilities16,17914,06714,549
Total liabilities47,32041,77439,057
Net assets18,31820,83419,543

11
Interim Report 2024
Consolidated and Condensed Interim Statement of Financial Position - continued
UnauditedAudited
Note
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Equity
Contributed equity4.3135,578135,578135,578
Accumulated losses(112,784)(110,881)(111,741)
Other reserves(4,476)(3,863)(4,294)
Total equity18,31820,83419,543
The above Consolidated and Condensed Interim Statement of Financial Position should be read in conjunction with the accompanying notes.
Director
2 August 2024
Director
2 August 2024

12
AoFrio Ltd
Consolidated and Condensed Interim Cash Flow Statement
Six months ended
Unaudited
Year ended
Audited
Note
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Cash flows from operating activities
Receipts from customers exclusive of GST/VAT35,90636,30076,130
Payments to suppliers and employees exclusive of
GST/VAT
(32,586)(39,432)(71,969)
Foreign exchange gains39474490
Other income75149327
Interest paid(816)(503)(1,284)
Interest received4.2233359
Taxation paid
-
(89)(104)
Net GST/VAT received(370)245299
Net cash inflow / (outflow) from operating activities2,271(2,823)3,948
Cash flows from investing activities
Payments for property, plant, and equipment3.5(314)(655)(1,030)
Proceeds from disposals of property, plant,
and equipment
275551
Payments for intangible assets3.6(2,583)(1,265)(3,349)
Net cash outflow from investing activities(2,870)(1,865)(4,328)
Cash flows from financing activities
New loans and drawdowns4.17,08312,39621,654
Loan repayments4.1(7,759)(7,828)(20,614)
Principal payments for lease liabilities5.3(70)(77)(78)
Net cash (outflow) / inflow from financing activities(746)4,491962
Net (decrease) / increase in cash and cash
equivalents
(1,345)(197)582
Cash and cash equivalents at the beginning of the
financial period
3,2952,8392,839
Effect of exchange rate movements on cash
1(127)(126)
Cash and cash equivalents at end of period5.71,9512,5153,295

The above Consolidated and Condensed Interim Cash Flow Statement should be read in conjunction with the accompanying notes.

13
Interim Report 2024
Notes to the Financial Statements
for the six months ended 30 June 2024
1. Basis of preparation
1.1 General Information
AoFrio Limited (the “Company”) and its subsidiaries (together the “Group”) is a hardware-enabled SaaS company
that supplies hardware and solutions to the food and beverage industry.
The Company is a limited liability incorporated and domiciled in New Zealand. The address of its registered office
is 78 Apollo Drive, Rosedale, Auckland 0632 New Zealand. The Company is registered under the Companies
Act 1993 and is an FMC reporting entity under Part 7 of the Financial Markets Conduct Act 2013. The financial
statements have been prepared in accordance with the requirements of Part 7 of the Financial Markets Conduct
Act 2013 and the NZX Main Board Listing Rules.
These interim financial statements do not include all the notes and disclosures set out in the annual report. As
a result, this report should be read in conjunction with the annual financial statements for the year ended 31
December 2023.
These consolidated and condensed financial statements have been approved for issue by the Board of Directors
on 2 August 2024 and have not been audited.
1.2 Summary of Material Accounting Policies
(a). Basis of preparation
These consolidated and condensed financial statements of the Group have been prepared in accordance with
generally accepted accounting practice in New Zealand. The Group is a for-profit entity for the purposes of
financial reporting. The consolidated and condensed financial statements comply with New Zealand International
Accounting Standard 34: Interim Financial Reporting.
All material accounting policies have been consistently applied to all the years presented, unless otherwise stated.
Entities reporting
The financial statements are for the consolidated group which is the economic entity comprising of AoFrio Limited
and its subsidiaries.
Historical cost convention
These financial statements have been prepared under the historical cost convention except for derivative financial
information which is measured at fair value.
New standards, amendments, and interpretations not yet adopted
The accounting policies adopted in the preparation of the interim condensed consolidated financial statements
are consistent with those followed in the preparation of the Group’s annual consolidated financial statements for
the year ended 31 December 2023, except for the adoption of new standards effective as of 1 January 2024.
The Group has not early adopted any standard, interpretation or amendment that has been issued but is not
yet effective. Several amendments apply for the first time in 2024, but do not have an impact on the interim
condensed consolidated financial statements of the Group.
Supplier Finance Arrangements (Amendments to NZ IAS 7 and NZ IFRS 7) and Supplier Finance
Arrangements Reduce Disclosure Regime. In May 2023, the IASB issued amendments to IAS 7 Statement
of Cash Flows and IFRS 7 Financial Instruments: Disclosures to clarify the characteristics of supplier finance

14
AoFrio Ltd
arrangements and require additional disclosure of such arrangements. The disclosure requirements in the
amendments are intended to assist users of financial statements in understanding the effects of supplier finance
arrangements on an entity’s liabilities, cash flows and exposure to liquidity risk. The transition rules clarify that
an entity is not required to provide the disclosures in any interim periods in the year of initial application of the
amendments. Thus, the amendments had no impact on the Group’s interim condensed consolidated financial
statements.
Amendments to IAS 1: Classification of Liabilities as Current or Non-current In January 2020 and October
2022, the IASB issued amendments to paragraphs 69 to 76 of IAS 1 to specify the requirements for classifying
liabilities as current or non-current. The amendments clarify: • What is meant by a right to defer settlement • That
a right to defer must exist at the end of the reporting period • That classification is unaffected by the likelihood
that an entity will exercise its deferral right • That only if an embedded derivative in a convertible liability is itself
an equity instrument would the terms of a liability not impact its classification In addition, a requirement has been
introduced whereby an entity must disclose when a liability arising from a loan agreement is classified as
non-current and the entity’s right to defer settlement is contingent on compliance with future covenants within
twelve months. The amendments had no impact on the Group’s interim condensed consolidated financial
statements.
Going concern assumption
The Group reported a loss for the six months ended 30 June 2024 of $1,043,000 (2023: loss of $2,674,000)
and operating cash inflows of $2,271,000 (2023: outflows of $2,823,000). Cash at 30 June 2024 was $1,951,000
(2023: $2,515,000) and net debt (defined as cash balances net of borrowings) was $2,508,000 (2023:
$6,288,000).
Management has prepared forecasts for the period through to 31 December 2024 that show a continuation of
strong customer demand. The Board has reviewed these forecasts and is satisfied that if customer demand is
lower than forecast or if global supply chain or macro-economic conditions cause other issues for the Group,
the Group can and will manage its planned increases in operating and capital expenditure to ensure the Group
maintains adequate cash reserves.
Therefore, the Board has at the time of approving the financial statements, assessed it is appropriate to continue
to adopt the going concern basis in preparing the financial statements.
(b). Significant accounting estimates and judgements
Estimates and judgments are continually evaluated and are based on historical experience and other factors,
including expectations of future events that are believed to be reasonable under the circumstances.
The Company makes estimates and assumptions concerning the future. The resulting accounting estimates will,
by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk
of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are
detailed in the following notes to the financial statements:
Areas of estimation
• Going concern – forecasts – note 1.2
Areas of judgement
• Deferred tax asset – recognition – note 2.7
• Development costs – capitalisation of expenses and impairment testing – note 3.6

15
Interim Report 2024
2. Results for the period
2.1 Segment information
An operating segment is a component of an entity that engages in business activities from which it earns revenues
and incurs expenses, whose operating results are regularly reviewed by the chief operating decision maker and
for which discrete financial information is available.
The chief operating decision maker, who is responsible for allocating resources and assessing performance of the
operating segments, has been identified as the Chief Executive Officer supported by the management team who
report directly to the CEO.
(a). Reportable segments
The Group is organised on a global basis into two operating divisions – Motors and IoT. These divisions offer
different products and services and are managed separately because they require different technology and
marketing strategies. The Group’s chief executive officer reviews the financial performance of each division at
least monthly. Each division is a reportable segment.
There are varying levels of integration between the segments. There are engineering and sales staff that support
both segments as well as shared logistical and quality management services.
Information related to each reportable segment is set out below:
June 2024 (six months)
Motors
$000s
IoT
$000s
Unallocated
$000s
Total
$000s
Revenue16,59521,767-38,362
Cost of goods sold(13,796)(13,048)-(26,844)
Gross profit2,7998,719-11,518
Gross margin %16.9%40.1%-30.0%
Foreign exchange gains--3939
Other income--7575
Operating expenses(2,007)(3,560)(4,961)(10,528)
EBITDA7925,159(4,847)1,104
Depreciation(53)(10)(349)(412)
Amortisation(160)(781)(30)(971)
Profit / (loss) before interest & taxation5794,368(5,226)(279)
Finance income--2323
Finance expense--(808)(808)
Profit / (loss) before income tax5794,368(6,011)(1,064)
Income tax credit--2121
Profit / (loss) for the period5794,368(5,990)(1,043)

16
AoFrio Ltd
June 2024 (six months)
Motors
$000s
IoT
$000s
Unallocated
$000s
Total
$000s
Non-current assets
Property, plant and equipment204415,3525,597
Deferred tax asset--10,36310,363
Goodwill-3,230-3,230
Intangible assets4,6257,60457912,808
Total4,82910,87516,29431,998


June 2023 (six months)
Motors
$000s
IoT
$000s
Unallocated
$000s
Total
$000s
Revenue12,97617,132-30,108
Cost of goods sold(11,001)(9,973)-(20,974)
Gross profit1,9757,159-9,134
Gross margin %15.2%41.8%-30.3%
Foreign exchange gains--474474
Other income-3146149
Operating expenses(1,954)(4,118)(4,392)(10,464)
EBITDA213,044(3,772)(707)
Depreciation(67)(16)(232)(315)
Amortisation(158)(877)(72)(1,107)
Profit / (loss) before interest & taxation(204)2,151(4,076)(2,129)
Finance income1-3233
Finance expense--(556)(556)
Profit / (loss) before income tax(203)2,151(4,600)(2,652)
Income tax expense--(22)(22)
Profit / (loss) for the period(203)2,151(4,622)(2,674)
Non-current assets
Property, plant and equipment364755,4145,853
Deferred tax asset--10,53810,538
Goodwill-3,224-3,224
Intangible assets3,7875,88064810,315
Total4,1519,17916,60029,930

17
Interim Report 2024
December 2023 (12 months)
Motors
$000s
IoT
$000s
Unallocated
$000s
Total
$000s
Revenue31,49835,054-66,552
Cost of goods sold(26,118)(20,446)-(46,564)
Gross profit5,38014,608-19,988
Gross margin %17.1%41.7%30.0%
Foreign exchange gains-490490
Other income-3324327
Operating expenses(3,905)(7,083)(8,811)(19,799)
EBITDA1,4757,528(7,997)1,006
Depreciation(127)(30)(591)(748)
Amortisation(317)(1,821)(168)(2,306)
Profit / (loss) before interest & taxation1,0315,677(8,756)(2,048)
Finance income1-5859
Finance expense--(1,322)(1,322)
Profit / (loss) before income tax1,0325,677(10,020)(3,311)
Income tax expense--(223)(223)
Profit / (loss) for the year1,0325,677(10,243)(3,534)
Non-current assets
Property, plant & equipment245495,1885,482
Deferred tax asset--10,36310,363
Goodwill-3,190-3,190
Intangible assets3,9966,20353410,733
Total4,2419,44216,08529,768

18
AoFrio Ltd
(b). Geographical segments
The Group operates in three main geographical areas, although it is managed on a global basis.
Six months endedYear ended
Revenue from external customers by
geographic areas
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Americas32,38623,88254,214
Asia / Pacific (APAC)2,8032,8794,974
Europe / Middle East / Africa (EMEA)3,1733,3477,364
Total38,36230,10866,552
Revenue is allocated above based on the country in which the customer is located. APAC revenue includes
$492,000 (2023: $1,382,000) from New Zealand customers.
Total non-current assets
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Americas1091,134266
Asia / Pacific – mainly in New Zealand31,86528,79029,483
Europe / Middle East / Africa24619
Total31,99829,93029,768
Total non-current assets are allocated based on where the assets are located.
2.2 Seasonality of operations
Revenues and operating profits are generally expected to be higher in the first six months of a calendar year,
lower in the 3
rd
quarter due to customers in the northern hemisphere shutting down for summer holidays and
increasing again in the 4
th
quarter.
This does not appear to be position this year and current forecasts show relatively consistent revenue throughout
the year.
Revenues and operating profits in the 4
th
and 1
st
quarters of a calendar year can be impacted by the timing of the
China New Year and Vietnam Tet holidays.
2.3 Revenue
Six months endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Sales of goods 37,08328,98664,228
Services 1,2791,1222,324
38,36230,10866,552

19
Interim Report 2024
Revenue is measured at the fair value of the consideration received or receivable for the sale of goods and
services, excluding GST / VAT, rebates and discounts and after eliminating sales within the Group. The Group
disaggregates revenues from contracts by geographical regions, which is detailed in note 2.1(b).
(a). Sale of goods
The Group manufactures and sells a range of energy efficient motors and IoT hardware to the food and beverage
market. Sales are recognised when control has transferred to the buyer which is usually when delivery of the
goods to the buyer pursuant to the Incoterms that apply is fulfilled, and there is no unfulfilled obligation that could
affect the customer’s acceptance of the products. Delivery occurs when the products have been delivered in
accordance with the pre-agreed Incoterms between the Group and the buyer, the risks of obsolescence and loss
have been transferred to the buyer, and either the buyer has accepted the products in accordance with the sales
arrangement, the acceptance provisions have lapsed, or the Group has objective evidence that all criteria for
acceptance and performance obligations under the contract with the customer have been satisfied.
Some of the sales of goods are subject to CIF (Cost, Insurance and Freight) Incoterms. The Group considers
these freight and insurance services to be a distinct service. For these sales, the total sales price is allocated to
the separate performance obligations, being the product and the insurance and freight costs. Further, the Group
considers itself an agent only in the provision of the freight services. Revenue for the CIF element is recognised
only to the extent of the margin for providing the agent services. However, there are limited sales under CIF terms
and the impact on revenue is estimated to be minor.
The Group has an in-market distributor in Brazil to supply goods to buyers in that market who require local
delivery. This distributor transacts as agent. The Group is the principal in these transactions. Sales of product are
recognised when the distributor delivers the product to buyers at which point control passes to the buyer.
Products may be sold with retrospective volume rebates based on aggregate sales over a 12-month period.
Revenue from these sales is recognised based on the price specified in the contract, net of the estimated volume
rebates. Accumulated experience and customer knowledge are used to determine the rebate amounts using the
expected value method and revenue is only recognised to the extent that it is highly probable significant reversals
will not occur. The liability to pay volume rebates is recognised (included in trade and other payables) in respect of
sales made until the end of the reporting period.
No element of financing is deemed present as the sales are made with a credit term of 30 - 120 days which is
consistent with market practice.
(b). Sale of services
Associated with the supply of IoT hardware, the Group supplies a range of data, and reporting services, all
installed on every AoFrio SCS, AoFrio Monitor and AoFrio Click sold and are distinct services from the sale of
goods. Revenue from the provision of such services is recognised when services are rendered to the buyer.
Contracts typically cover a period from hardware supply of anywhere from 1 to 10 years, dependent on customer
requirements. Contracts specify the price for the provision of the services. Revenue from such contracts is
recognised on a straight-line basis over the contract term because the customer receives and uses the benefits
simultaneously. As set out in note 2.3(a), no explicit element of financing is deemed present as the purpose of the
advance payment of revenue is for reasons other than financing.
The Group also provides software development services for customers. Revenue from these services is
recognised when the contracted development is completed according to the agreed scope of work.

20
AoFrio Ltd
Six months endedYear ended
Contract liabilities
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Carrying amount at start of period12,29410,16210,162
Invoiced in the period2,5402,1454,403
Recognised in revenue(1,279)(1,122)(2,324)
Exchange adjustment52446053
Carrying amount at end of period14,07911,64512,294
Current portion2,3122,2092,269
Non-current portion11,7679,43610,025
14,07911,64512,294
2.4 Other income
Six months endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Research and Development tax
incentive claims received
--290
Other income7514937
Total75149327

2.5 Operating expenses include
Six months endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Wages and salaries and other
short-term benefits
9,6758,07116,613
Employer contributions to Kiwisaver
and 401K plans
304268545
Employee share options expense433377
Employee benefits10,0228,37217,235
Payments to contractors315528798
Capitalisation of labour and expenses
to intangible assets
(2,540)(1,074)(3,161)

21
Interim Report 2024
The amount disclosed above for wages and salaries is stated before capitalisation of labour to intangible assets.
Liability for wages and salaries, including non-monetary benefits, annual leave and accumulating sick leave
expected to be settled within 12 months of the reporting date are recognised in other payables in respect of
employees’ services up to the reporting date and are measured at the amounts expected to be paid when the
liabilities are settled. Liabilities for non-accumulating sick leave are recognised when the leave is taken and
measured at the rates paid or payable.
The Group recognises a liability and an expense for bonuses and creates a provision where contractually obliged
or where there is past practice that has created a constructive obligation.
2.6 Earnings per share
Earnings per share (‘EPS’) is the amount of post-tax profit attributable to each share.
Basic EPS of a loss of 0.24 cents (June 2023 – loss of 0.62 cents) is calculated by dividing the loss attributable to
equity holders of the Company of $1,043,000 (June 2023 – loss of $2,674,000) by the weighted average number
of ordinary shares in issue during the period of 431,853,006 (June 2023 – 431,853,006).
Diluted EPS of a loss of 0.24 cents (June 2023 - loss of 0.62 cents) is calculated by dividing the loss attributable to
equity holders of the Company of $1,043,000 (June 2023: - loss of $2,674,000) by the weighted average number
of shares in issue during the period. No adjustment was made for effects of 12,930,000 dilutive potential ordinary
shares, refer to note 5.1(c), because the effect in that period would have been anti-dilutive.
2.7 Income tax
Six months endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Current year income tax credit / (expense)21(22)(48)
Deferred tax – recognition of deferred tax asset--(175)
Income tax credit / (expense)21(22)(223)
The charge for the period can be reconciled to the result before tax as follows:
Six months endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Reported loss for the year before tax(1,064)(2,652)(3,311)
Tax at 28%(298)(743)(927)
Adjustment of prior periods--992
Effect of different tax rates of subsidiaries in other
jurisdictions
(3)--
Tax effect of non-deductible / non-assessable items(120)(102)(113)
Tax effect of utilisation of losses in current period442823-
Recognition of carried forward tax losses--(175)
Income tax credit / (expense)21(22)(223)

22
AoFrio Ltd
As it is probable that future taxable amounts will be available to utilise temporary differences and losses, a
deferred tax asset was recognised at 31 December 2023 for deductible temporary differences and for that portion
of the unused tax losses expected to be utilised in the five years 2024 through to 2028. No additional deferred tax
has been recognised in H1 FY24. The key judgements within the forecast taxable profit model include revenue
growth rates and gross margin. No deferred tax asset has been recognised in respect of the remaining tax losses
to carry forward due to uncertainty as to forecast taxable income after the five years.
Losses available to be carried forward are subject to the shareholder continuity requirements of the New Zealand
Income Tax Act 1994 and the countries in which the losses have arisen.

23
Interim Report 2024
3. Operating assets and liabilities
3.1 Trade and other receivables
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Trade receivables19,99418,56615,483
Provision for loss allowance(69)(96)(41)
Net trade receivables19,92518,47015,442
Prepayments577530239
VAT / GST refunds due3219396
Income tax refund due347372361
Other receivables273352342
21,44319,81716,480
The Group applies the simplified approach permitted by NZ IFRS 9 which requires lifetime expected credit losses
to be recognised from initial recognition of the trade receivable. Trade receivables are written off when there is no
reasonable expectation of recovery.
The Group takes out trade credit insurance to hedge against some of the credit risk.
3.2 Inventories
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Finished goods – at cost8,4648,1656,886
Raw materials – at cost2,0412,5802,203
Less inventory provisions(297)(399)(286)
Total inventories10,20810,3468,803

3.3 Trade and other payables
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Trade payables20,62113,22414,198
Employee entitlements2,0141,4801,313
VAT / GST payable164416388
Income tax payable-2424
Accrued expenses1,5201,5911,328
24,31916,73517,251

24
AoFrio Ltd
3.4 Provisions
Warranty provision
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Carrying amount at start of period133177177
Additional provisions recognised234545
Amounts used(23)(45)(89)
Exchange adjustment67-
Carrying amount at end of period139184133

3.5 Property plant and equipment
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Net book amount at start of period5,4821,1561,156
Additions3145,0005,375
Depreciation(412)(315)(748)
Disposals(27)(59)(55)
Exchange adjustment24071(246)
Net book amount at end of period5,5975,8535,482
Depreciation
Property235154378
Plant and equipment111115241
Office equipment, furniture & fittings6646129
412315748

Capital commitments
Capital commitments contracted at 30 June 2024 amounted to $114,000 (June 2023 $326,000)
3.6 Intangible assets
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Net book amount at start of period13,92312,90712,907
Additions2,5831,2653,349
Amortisation(971)(1,107)(2,306)
Exchange adjustment503474(27)
Net book amount at end of period16,03813,53913,923

25
Interim Report 2024
Analysis of net book amount30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Internally generated development assets12,2299,72110,189
Patents221248211
Goodwill3,2303,2243,190
Other358346333
16,03813,53913,923
Additions in the six months to 30 June 2024 include $2,540,000 (2023: $1,081,000) for internally generated
development costs and $43,000 (2023: $184,000) for patents, trademarks and software. Payments for intangible
assets in the period amounting to $2,583,000 (2023: $1,265,000) are included in the Consolidated and
Condensed Interim Cash Flow Statement.
Internally generated development costs include $7,948,000 (2023: $3,336,000) for projects underway and not
complete at balance date. This cost is not yet being amortised.
Goodwill and intangible assets with indefinite lives
Goodwill acquired through business combinations with indefinite lives has been allocated to the IoT Cash
Generating Unit (CGU) which is also an operating and reportable segment for impairment testing. The Group
performed an impairment test at 30 June 2024.
The recoverable amount of the IoT CGU at 30 June 2024 has been determined based on a value in use
calculation using cash flow projections from the latest forecast approved by senior management for 2024. The
pre-tax discount rate applied to the cash flow projections is 13.5% (2023: 16%) and cash flows beyond 2024 using
a 9.92% growth rate for IoT revenue over the period from 2019 to 2024.
The calculation of value in use is most sensitive to the following assumptions:
• Gross margins
• Completion and launch of new IoT products under development and retaining volumes to current customers
• Growth rates used to extrapolate cash flows beyond the forecast period
• Operating expense increases.
Gross margins are based on current pricing and product costs. The gross margin for the period to 30 June 2024
was 40.1% and is forecast at 42.2% for later years. Operating expenses for the period to 30 June 2024 was
16.4% of sales. This rate has been maintained for later years.
As a result of this analysis, management did not identify an impairment for this CGU.

26
AoFrio Ltd
4. Capital and financing costs
4.1 Borrowings
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Current portion
Bank trade finance facility4,0927,6774,004
Bank term loans20516486
Other borrowings27268184
4,1398,4614,674
Non-Current portion
Bank term loans320319311
Other borrowings-23-
320342311
BNZ trade finance facility
The bank trade finance facility is $5 million. The facility has no term, is repayable on demand and is secured. The
Company can finance invoices to certain customers over a maximum term of 120 days. Interest is payable on
repayment at a 3.25% margin above bank base lending rate.
Bank loans
The Company’s US subsidiary borrowed US$198,100 under the Small Business Act. The SBA loan has monthly
repayments over a 30-year term. Interest is payable at 3.75% pa.
The Company’s Mexican subsidiary repaid its 5 million Mexican Pesos loan from the Banco del Bajio during the
period ($481,000 at 30 June 2023).
Movements in bank and other loans during the period were:
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Liability at start of period4,9853,8353,835
New loans and drawdowns7,08312,39621,654
Repayments(7,759)(7,828)(20,614)
Exchange adjustment150400110
Liability at end of period4,4598,8034,985

27
Interim Report 2024
4.2 Finance income and expenses
Six months endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Finance income
Interest income233359
233359
Finance expenses
Interest expense – Bank loans246239552
Other interest expense562317770
8085561,322
4.3 Contributed equity
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares or
options are shown in equity as a deduction, net of tax, from the proceeds.
Ordinary shares – fully paid
30 Jun 2024
Shares
30 Jun 2023
Shares
30 Jun 2024
$000s
30 Jun 2023
$000s
Opening balance of ordinary
shares on issue
431,853,006431,853,006135,578135,578
New shares issued
----
Ordinary fully paid shares on
issue at period end
431,853,006431,853,006135,578135,578
All ordinary shares are authorised and have no par value. Ordinary shares entitle the holder to participate in
dividends and the proceeds on winding up of the Company in proportion to the number of and amounts paid on
shares held.

28
AoFrio Ltd
5. Other information
5.1 Related party transactions
(a). Directors
The names of persons who are Directors of the Company are on page 33.
(b). Key management personnel and compensation
Key management personnel compensation is set out below. Key management personnel comprises the Directors,
the Chief Executive Officer (CEO) and all the senior executives that report directly to the CEO.
Six month endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Salaries, fees and other short-term benefits1,2061,1132,404
Share based remuneration433377
Directors’ remuneration177168316
Total1,4261,3142,797
(c). Employee share-based remuneration
In 2021, 12,930,000 options were issued to the Chief Executive Officer. 8,620,000 options (Tranche One) will
vest on 1 October 2024 and 4,310,000 options (Tranche Two) will vest on 1 October 2025, if the CEO remains a
full-time employee on those dates. The exercise price of the Tranche One options is 9.1 cents and of the Tranche
Two options is 11.5 cents.
The fair value of the employee services received in exchange for the grant of options are recognised as an
expense over the vesting period. The proceeds received net of any directly attributable transaction costs are
credited to share capital when options are exercised.
5.2 Contingencies and commitments
There are no material contingent liabilities or assets (June 2023 - $nil).
5.3 Leases
The Consolidated and Condensed Interim Statement of Financial Position shows the following amounts related to
leases of right of use assets:
Right-of-use assets
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Properties3,8914,2833,918
Plant & equipment20-23
Office equipment, furniture & fittings14-15
3,9254,2833,956

29
Interim Report 2024
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Liabilities in respect of right-of-use assets
Current23262181
Non-current4,0924,2894,213
4,324 4,3514,394
Additions to right-of-use assets in the period
Properties-4,4044,345
Plant and equipment--26
Office equipment, furniture and fittings--18
- 4,4044,389
Movements in liabilities in respect of right-of-use assets in the period were:
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Liability at start of period4,3948383
New liabilities-4,3454,389
Repayments(70)(77)(78)
Exchange adjustment---
Liability at end of period4,3244,3514,394
The Consolidated and Condensed Interim Statement of Comprehensive Income shows the following amounts
related to leases of right of use assets:
Six months endedYear ended
Depreciation charge for right-of-use assets
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Properties193119342
Plant & equipment337
Office equipment, furniture & fittings224
198124353
Interest expense on lease liabilities 180119299
Expense relating to short-term leases
(included in operating expenses)
3850103

30
AoFrio Ltd
The Consolidated and Condensed Interim Cash Flow Statement shows the following amounts related to right-of-
use leases:
Six months endedYear ended
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Total principal payments for right-of-use
assets
707778
5.4 Financial instruments by category
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Assets per Statement of Financial Position
Financial assets measured at amortised
cost
Trade and other receivables20,19818,82215,784
Cash and cash equivalents1,9512,5153,295
Derivatives used for hedging at fair value
Derivative financial instruments38-254
22,18721,33719,333
Liabilities per Statement of Financial
Position at amortised cost
Trade and other payables24,31916,73517,251
Borrowings4,4598,8034,985
Liabilities in respect of right-of-use assets4,3244,3514,394
Liabilities at fair value
Derivative financial instruments-56-
33,10229,94526,630
Fair value estimation
The only financial instruments carried at fair value at 30 June 2024 are derivatives comprising forward foreign
exchange contracts.
The forward exchange contract has been classified as Level 2.
The different levels have been defined as follows:
• Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1)
• Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either
directly (i.e. as prices) or indirectly (i.e. derived from prices) (Level 2)
• Inputs for the asset or liability that are not based on observable market data (i.e. unobservable inputs)
(Level 3)

31
Interim Report 2024
The fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance
sheet date, with the resulting value discounted back to present value.
5.5 Maturity analysis
The amounts disclosed are the contractual undiscounted cash flows.
30 June 2024
Trade and other
payables
$000s
Borrowings
$000s
Right-of-Use
asset
Liabilities
$000s
Total
$000s
Less than 6 months24,3194,12911028,558
7 to 12 months-10122132
2 to 5 years-3204,0924,412
24,3194,4594,32433,102
30 June 2023
Less than 6 months16,7358,319(5)25,049
7 to 12 months-14267209
2 to 5 years-3424,2894,631
16,7358,8034,35129,889
31 December 2023
Less than 6 months17,2514,6387121,960
7 to 12 months-36110146
2 to 5 years-3114,2134,524
17,2514,9854,39426,630
Trade and other payables above exclude any liabilities for tax (including payroll taxes), statutory liabilities and
contract liabilities.

32
AoFrio Ltd
5.6 Reconciliation of loss for the period to net cash inflow from operating activities
Six months ended
Unaudited
Year ended
Audited
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Loss after taxation for the period(1,043)(2,674)(3,534)
Adjustments for:
Income tax (credit) / expense(21)22223
Depreciation, amortisation & impairment1,3831,4223,054
Share based payments433377
Increase / (decrease) in Inventory provision1117(96)
Increase / (decrease) in loss allowance provision284(51)
Increase / (decrease) in provision for warranty67(44)
Net foreign exchange differences(582)(146)(386)
(Increase) / decrease in trade & other receivables(4,991)4,4607,852
Increase in contract liabilities1,7851,4832,132
(Increase) / decrease in inventories(1,416)9092,565
Increase / (decrease) in trade & other payables7,068(8,360)(7,844)
Net cash inflow / (outflow) from operating
activities
2,271(2,823)3,948
5.7 Net debt reconciliation
30 Jun 2024
$000s
30 Jun 2023
$000s
31 Dec 2023
$000s
Cash and cash equivalents1,9512,5153,295
Borrowings – repayable within one year(4,139)(8,461)(4,674)
Borrowings – repayable after one year(320)(342)(311)
Net debt(2,508)(6,288)(1,690)
The bank trade finance facility is at variable interest rates. All other borrowings are at fixed interest rates, with
borrowings movements disclosed in note 4.1. The decrease in cash during the period of $1,344,000 (2023:
decrease $324,000) included a $1,000 increase (2023: $127,000 decrease) caused by exchange rate movement.
5.8 Events after reporting date
There are no events after reporting date requiring disclosure.

33
Interim Report 2024
Contacts
Directors
John Scott, Chairman
John McMahon, Independent Director
Keith Oliver, Independent Director
Greg Allen, Independent Director
Melissa Clark - Reynolds, Independent Director
Roz Buick, Independent Director
AoFrio offices
New Zealand (Head office)
AoFrio Ltd
78 Apollo Drive
Rosedale, Auckland 0632
New Zealand
Postal Address
P.O. Box 302 – 533
North Harbour
Auckland 0751, New Zealand
Ph: 64-9-477 4500
Mexico
Wellington Latin America Services SA de CV
San Serafin No. 4
Residencial San Gil
San Juan del Rio, Qro,
Mexico 76815
PO Box 57
San Juan del Rio
Querétaro
Mexico 76800
Ph: +52 427 167 3857
Brazil
Wellington Drive Technologies (Brazil)
Rua Xamim, 370 - Iririu
Joinville, SC
Brazil 89227917-315
Ph: +55 47 3028 3858
Turkey
Wellington Motor Teknolojileri San Tic Ltd. Sti.
Fatih Sultan Mehmet Mah.
Poligon Cad. No: 8C
Buyaka Kule 3 Kat:11 Daire:70
Tepeüstü 34771 Umraniye – Istanbul
Ph: +90 0 (216) 420 12 02
Fax: +90 0 (216) 420 12 05
Phone/fax
Ph: 64-9-477 4500
Fax: 64-9-479 5540
Internet and social media
Website: www.aofrio.com
Email: info@aofrio.com
LinkedIn
Twitter
Address and registered office
78 Apollo Drive
Rosedale, Auckland 0632, New Zealand
PO Box 302-533, North Harbour,
Auckland 0751, New Zealand
Auditor
Deloitte Limited
80 Queen Street, Auckland CBD, Auckland 1010
Banker
Bank of New Zealand
Share registry
Computershare Investor Services Ltd,
Private Bag 92119, Auckland 1142,
New Zealand

34
Interim Report 2024
www.aofrio.com
AoFrio
Interim Report
2024

---

AO136
2 August 2024

Market Announcement
For immediate release

Interim Result Announcement: AoFrio has another strong quarter, Q2 revenue
growth of 41%, maintains guidance.

Strong first and second quarter trading for AoFrio produced H1 FY24 revenue growth of
27.4% over the same period last year. EBITDA for H1 FY24 was a $1.1m profit compared
to a $0.7m loss for the same period last year.

The Company’s Interim Report has been released today and can be viewed at Interim
Report 2024.

The results show a strong first half performance, as previously indicated, built on AoFrio’s
new USA IoT strategy, new business wins in both North America and South America and a
significant improvement in customer satisfaction score.

Metric (NZ$m) H1 FY24 H1 FY23 Variance
Revenue 38.4 30.1 8.3
IOT 21.8 17.1 4.7
Motors & Fans 16.6 13.0 3.6

Gross Margin % 30.0% 30.3% (0.3) pp

EBITDA 1.1 (0.7) 1.8

EBIT (0.3) (2.1) 1.8

Loss (1.0) (2.7) 1.6

Operating cash
inflow / (outflow)
2.3 (2.8) 5.1

AoFrio has significantly accelerated its new product development and will be releasing
new software and hardware solutions focused on improving the return on investment for
our customers’ refrigeration fleets. The pipeline of solutions to be launched in FY24
includes AoFrio® INSIDE™, AoFrio iQ, ECR®2 26W, and AoFrio’s first Food Retail
solution.

The Company is building a strong sales pipeline based on these new solutions, which offer
opportunities to take additional market share, with the potential for some significant sized
deals.

AoFrio is maintaining its FY24 guidance for revenue in the range $70m to $80m, a 13%

AO136


A: 78 Apollo Drive, Rosedale, Auckland 0632, New Zealand
PO Box: 302-533 North Harbour, Auckland 0751, New
Zealand

P: + 64 9 477 4500 E: info@aofrio.com
® is a registered Trademark of AoFrio Ltd.


increase over FY23 at the midpoint of the range. EBITDA guidance for FY24 is targeting
around $2.5m. Macroeconomic conditions may impact this guidance.

AoFrio notes it is working on significant large opportunities that, if they eventuate, would
push revenue to the top end of guidance.

AoFrio remains measured in its approach to managing the investment required for new
product and adjacent market growth, including cost controls, and tighter criteria for
investment in innovation. AoFrio continues to manage its investment to align with trading
conditions and expects to be able to continue expanding through internally generated
cashflows.
Thank you to the AoFrio team and stakeholders for your support.



*EBITDA (i.e., Earnings before interest, taxation, depreciation, amortisation, and impairment) is a non-GAAP
earnings figure that equity analysts tend to focus on for comparable company performance analysis. AoFrio
considers it a valuable financial indicator because it avoids the distortions caused by differences in
amortisation and impairment policies. Contact




Ends

Contact

Greg Balla Howard Milliner
Chief Executive Officer Chief Financial Officer
Phone + 64 21938601 +64 275870455